32.1100
Scope of subpart
FAR 32.1100 mandates that contract financing and delivery payments to contractors are governed by policies and procedures for electronic funds transfer (EFT).
Overview
- FAR 32.1100 establishes the scope for Subpart 32.11, which covers the policies and procedures for making contract financing and delivery payments to contractors using electronic funds transfer (EFT). This section signals that all subsequent regulations in this subpart pertain specifically to the use of EFT as the standard method for government payments to contractors.
Key Rules
- Electronic Funds Transfer (EFT) Requirement
- All contract financing and delivery payments to contractors must be made via EFT, unless an exception applies.
- Policy and Procedures Coverage
- The subpart outlines the detailed policies and step-by-step procedures for implementing EFT payments in government contracts.
Responsibilities
- Contracting Officers: Must ensure contracts include appropriate EFT clauses and follow prescribed procedures for EFT payments.
- Contractors: Must provide accurate EFT information and comply with requirements for receiving payments electronically.
- Agencies: Oversee implementation and ensure compliance with EFT payment policies.
Practical Implications
- This section exists to modernize and streamline government payments, reducing delays and errors associated with manual payment methods.
- Contractors must be prepared to receive payments electronically and maintain up-to-date banking information.
- Common issues include incorrect EFT data submission, which can delay payments, and failure to include required EFT clauses in contracts.